Scammers posing as Internal Revenue Service (IRS) agents have managed to bilk tens of millions of dollars from unsuspecting taxpayers. But just as the IRS is ramping up coverage of the scams, thieves are switching gears and trying something new. The IRS is now receiving reports of scammers calling and claiming that taxpayer information needs to be verified over the phone.
Here’s how the new scam works. The scammer calls you and says that are with the IRS and have your tax return. They then say they need to verify some information to process your return. Those details generally involve asking for your personal information such as a Social Security number or personal financial information, such as bank numbers or credit cards.
To make the scam appear legitimate, scammers often alter caller ID numbers to make it look like the IRS or another government agency is calling. The callers may refer to IRS titles, fake names and fake badge numbers. They may know your name, address and other personal information that they offer to make the call sound official.
“Don’t be fooled,” says IRS Commissioner John Koskinen. “The IRS won’t be calling you out of the blue asking you to verify your personal tax information or aggressively threatening you to make an immediate payment.” (emphasis added)
Those variations on the phone scam are just one of many attempts to steal your personal information this year. With IRS phone scams alone, thieves have successfully tricked nearly 5,000 victims into paying out over $26.5 million. And, according to IRS, just this year, they’ve seen a 400% increase in phishing schemes in an attempt to get you to disclose your personal or financial information.
The IRS says that any one of these six things is a tell-tale sign of a scam:
- Call to demand immediate payment over the phone, nor will the agency call about taxes owed without first having mailed you several bills.
- Call or email you to verify your identity by asking for personal and financial information.
- Demand that you pay taxes without giving you the opportunity to question or appeal the amount they say you owe.
- Require you to use a specific payment method for your taxes, such as a prepaid debit card.
- Ask for credit or debit card numbers over the phone or email.
- Threaten to immediately bring in local police or other law-enforcement groups to have you arrested for not paying.
(Be on the lookout for private scams, too, like this one involving TurboTax.)
The IRS never initiates contact with taxpayers via email. If you get an email asking you to visit a website or answer personal questions, do not reply and do not click on any links in the email.
If you receive a phone call from someone claiming to be with the IRS who engages in any of those six warning signs and you do not owe taxes, or have no reason to think that you do, do not give out any information. Hang up immediately.
If you receive a phone call from someone claiming to be with the IRS and you owe tax or think you may owe tax, do not give out any information. Call the IRS back at 1.800.829.1040 to find out more information. If you’re looking for information about the status of your refund, use the IRS “Where’s My Refund?” tool.
You can also contact TIGTA to report scam calls by calling 1.800.366.4484 or by using their “IRS Impersonation Scam Reporting” form on the website. You may also want to report the scam to the Federal Trade Commission by using the “FTC Complaint Assistant” to report persons pretending to be from the government; please add “IRS Telephone Scam” in the notes.
Don’t fall for the tricks. Keep your personal information safe this tax season by remaining alert. For tips on protecting yourself from identity theft-related tax fraud, click here.
